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Politics : Formerly About Advanced Micro Devices

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To: TimF who wrote (136832)5/10/2001 4:05:15 PM
From: tejek  Read Replies (1) of 1580426
 
Action Alert: TRW

By James J. Cramer

5/10/01 9:59 AM ET




This market needs a stock that is levered to the auto and defense markets. These two markets are coming back strongest, one because of rates, the other because of Bush!

This market needs a stock with a yield that will be equal to the rate that the Fed will take the funds to. This market needs a stock that gives you a play on space, and space weapons.

This market needs TRW.

Here's a stock that got trashed because it was levered to autos and to dot-coms. It invested heavily in the dot-com world, with limited results. That is history. Now it's a pure play on aerospace and autos. Both are coming back.

It is, in the language of Prudential, many times blessed, because our own Gary B. Smith highlighted it technically this morning. It is an overlooked stock in two consolidating industries. It is poised to explode in earnings power, but pays a good yield while it gets there. I, unfortunately, hinted that I liked this stock on television a few days ago so I can't buy it yet. I can only recommend it to you as an Action Alert. TRW's on a roll.

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James J. Cramer is a director and co-founder of TheStreet.com.
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